E-agribusiness

Presented by:
Ashish Barnwal
PGDM : 4th Sem
Xavier Institute
(XIDAS)
Jabalpur (M.P)
12/14/16

Agriculture in India is one of the largest sources of

livelihood of its population, a component of domestic products
and touches almost every sphere of economic activity.
The annual production of more than 500 million tones of food
and non-food commercial crops and agricultural based
products. such as poultry, dairy, Horticulture and floriculture
indicate huge share of agriculture in economics success of our
country.
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Cont
Production is really optimistic but still the condition
of marketing is not as satisfactory
There are so many defects in the present marketing
system.
To overcome these defects new techniques and trends
should be adopted.
one of which is E-agribusiness!

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What is Eagribusiness?
Technically it can be defined as any form of business transaction in
which the parties interact electronically rather than by physical
exchanges or direct physical contact.
Doing agribusiness on-line through internet is generally referred to as
electronic agribusiness. In short it is called as "E-agribusiness".
It is also referred to as application of e-commerce in agribusiness.
Basically it is Information Technology (IT) based agribusiness.
Therefore, E-agriculture is a promising area encompassing the agri value
chain through the application of internet and related technologies.

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Application of E agriculture
Application of E agriculture encompasses all agriculture and
infrastructure projects in which ICT has the potential of
enabling the empowerment of the community. Such as:
Providing Internet Demand Based Agriculture Information
through ICTs helping farmers to access information on
commodity prices.
practices for cultivation crop care and in forging direct
relationships with potential buyers in order to provide better
value for their produce

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Cont
Helping farmers to access information on commodity prices.
Multipurpose community centres enhancing access to the
farming community
To information related to not only agriculture but also
impacting other areas of life
such as education, health and products required for daily needs
besides facilitating between the village community and the rest
of the world.
E-agriculture also provides information needs of various
players in the agri value chain.

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Special Features of E-Agribusiness

1. Organized and centralized trading
2. Widely dispersed buyers and sellers with
remote assess.
3. Merchandising based on product description.
4. High trading volume.
5. Use of reliable grades and standards.

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E-Agri Business
Market: The Maharashtra State Agricultural Marketing
Board had initiated use of IT in agricultural marketing.
MSAMB has launched www.msamb.com website on this
website comprehensive information of MSAMB is
incorporated. All information is available in Marathi and
English version.
Digital Mandi: It is a unique e-trading platform having special
features that enable the farmers to reap the most out of the
opportunity prices of major mandies are transparently provided
on computer screen, giving the farmer the choice to sell his
stock in more profitable market.
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Scope and advantages of e-agribusiness

There is a great scope for e-agribusiness in agriculture,
specially in horticulture and processed products.
Mango, grapes, spices etc. has large demand in national and
international market.
Farmers through the website of the organizations like
Maharashtra Draksha Bagayatdar Sangh or Rose society can
sell their produce on line.
Products like sugar, tea, processed agri. products, dairy
products beverages etc can also sold online to gain more profit.
Farmers get up-to-date information about the market and can
sell their produce through the electronic medium.
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Major advantages of e-agribusiness

Global Market: E-agribusiness provides a virtual global
distribution market place. Internet is used by millions of people
throughout the world and therefore, conducting business through
this new system is unlimited and endless.
Inventory Costs: Eagribusiness helps to minimize inventory
costs many times by adopting just in time systems. It also
enhances the firm's ability to forecast demand of an industry more
accurately.
Consumer Service: The cost incurred towards customer and after
sale services generally account for not less than 10 % of the
operating costs under e-agribusiness. Many of the services may be
put on line along with improvement in product / service in quality.

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Advantages Cont
Distribution Period: Under e-agribusiness, the customers
place orders immediately on the net and goods are delivered
under normal way.
Easy reach: With the help of internet small and medium size
companies also get an opportunity to provide information on its
products and services to all the potential customers in the world
over with a minimum cost.
Direct link: Through internet, companies can establish a direct
link to customers and critical suppliers or distributors to
complete transactions or communicate trade information more
easily.
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Obstacles in E-agribusiness
1. Computer illiteracy and unawareness about ecommerce.
2. Problems in internet connectivity.
3. Language problems.
4. Load shedding of electricity.

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Eagribusiness: Global scenario

Eagribusiness and Internet access are revolutionizing the
agribusiness sector in the developed countries.
Trade, involving the Internet e commerce has boomed in
recent years, rapidly reached to a significant position in the
economy of country like USA, Canada, UK etc.
The farming community has more readily embraced the
Internet than the general population.
Up to 2/3rd of producers are estimated to have Internet access
and are using it to gather information used for decision making
in business.

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E-agribusiness: Indian prospective

India is an agro based economy with a competitive advantage
in the world scenario in respect of biological, geographical and
climatologically diversities.
This enables India to grow a wide variety of crops even during
the off-season to meet the continuous demand for agricultural
products.
India's presence is insignificant in the global scenario of eagribusiness. E-agribusiness is not yet a way of life in the
country.
Currently, 90 % of the companies offer only information on
the web. Only 10 % offer goods.
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Conclusion
There is tremendous potential of e-agribusiness. As it expands,
enormous opportunities would be created in the business of
agriculture sector.
E-agribusiness at global level depends upon global
information and telecommunications network of countries.
In future the development of Information Technology would
largely depend upon growth Interact and its allied activities.
It is absolutely necessary that Indian Agro based Industry gets
ready to do business this medium.

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Thank U

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